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Volvo Trucks, a renowned European truck manufacturer, has launched its LNG (Liquified Natural Gas) truck in India. This move aligns with Volvo's goal of achieving carbon neutrality by 2040. Partnering with Eicher Motors, Volvo has delivered a batch of 20 trucks to its first Indian customer, Delhivery, a major logistics company.
India, recognized for its growing economy and engineering capabilities, is an attractive market for global truck makers like Volvo. Volvo Trucks has introduced its FM420 LNG truck, a 42-ton vehicle, to the Indian market. This truck is part of a commercial trial that began in September 2022.
Volvo Eicher Commercial Vehicles (VECV), the joint venture between Volvo Trucks and Eicher Motors, now stands out in the Indian market. "Today, Volvo Trucks is the only OEM supplying and supporting heavy-duty diesel, LNG, and electric trucks in India," said Vinod Aggarwal, MD & CEO of VECV.
The FM420 LNG truck offers significant environmental benefits. It emits 20% less CO2 compared to similar diesel trucks. Using BioLNG can eliminate CO2 emissions entirely. The truck uses High Pressure Direct Injection (HPDI) technology, enhancing fuel efficiency by 15-20% compared to other LNG trucks.
The FM420 LNG truck features a 225 kg cryogenic tank for LNG and a 170-litre diesel tank. It is imported as a Completely Built Unit (CBU) and is currently 40-50% more expensive than its diesel counterpart. Volvo plans to localize production to reduce costs.
With increasing emphasis on sustainable transportation, industries like cement and steel are shifting to cleaner fuel technologies. "The direction is towards that," said Dinakar Boddapati, Executive VP and Business Head of Volvo Trucks India. The FM420 LNG truck can travel up to 1,000 kilometers on a full tank, offering longer intervals between refills compared to diesel trucks.
Despite the current limited number of LNG stations in India, the market shows promise. Other OEMs like Tata Motors and Ashok Leyland are also entering the LNG truck segment. Volvo Trucks sees this as a crucial step towards its goal of carbon neutrality by 2040.
India is a significant market for Volvo Trucks, which has a presence in 130 countries and assembles trucks in 12, including India. Volvo's operations in India include an assembly plant in Hoskote, a global technology center, and a global purchasing office. "India is already a key part of the global operations," said Hanna Ljungqvist, Head of Market India and Indonesia, Volvo Trucks.
Since its entry into the LNG truck segment in 2017, Volvo has sold around 7,500 units globally. European countries like Spain, France, Italy, and the UK have a significant number of Volvo LNG trucks. The potential for India to become a key market for LNG trucks is promising, but it will be a gradual process.
The introduction of Volvo's FM420 LNG truck in India marks a significant step towards sustainable transportation. With its advanced technology and environmental benefits, Volvo Trucks aims to tap into India's growing market and support the country's transition to cleaner fuel options.
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